- 01Tesla warranties come in three layers
- 02The basic warranty is 4 years or 80,000 km
- 03The battery warranty is 8 years, varying by model
- 04The extended warranty adds 2 years and 40,000 km
- 05Eligibility and covered models
- 06The price has 3 tiers by sign-up timing
- 07What is covered and what is not
- 08The real repair costs that nudged me toward signing up
- 09How warranty transfer works
- 10Cases where it cannot be transferred
- 11Cancellation and how the refund is calculated
- 12Warranty on certified pre-owned cars
- 13Can it add to the price when you sell?
- 14Common pitfalls
- 15Who it suits and who it does not
- 16Things to check before signing up
- 17Frequently asked questions
- 18Official sources I referred to
- 19Summary
Good morning. まさきん here.
The basic warranty on one of our Teslas is getting close to its end. Since the timing was right, I looked into signing up for the extended warranty.
Once I dug in, it turned out to be a surprisingly deep program, covering not just price and conditions but also how the warranty transfers when you sell. This time I reread the official pages and the warranty terms, and I will lay out what they say.
Note: This article reflects information at the time of publication. Please check the official sites for the latest terms.
- The basic warranty runs to 4 years or 80,000 km from new. The extended warranty adds 2 years and 40,000 km on top
- The price has 3 tiers depending on when you sign up. For Model 3 it starts at 89,000 yen (tax included)
- You can sign up only within 4 years of delivery and within 80,000 km
- When you transfer the car to an individual, the extended warranty carries over automatically unless you cancel it
- Sale to a vehicle dealer is excluded from transfer under the warranty terms
Tesla warranties come in three layers
Tesla warranties are easiest to understand when split into three broad parts. There is the basic warranty that comes with a new car, the battery warranty, and the paid extended warranty.
The official Japanese page described them as follows.
| Type of warranty | Period and distance (whichever comes first) | Cost |
|---|---|---|
| Basic Vehicle Limited Warranty | 4 years or 80,000 km | Included with the vehicle |
| Supplemental Restraint System (SRS) Limited Warranty | 5 years or 100,000 km | Included with the vehicle |
| Battery and Drive Unit Limited Warranty | 8 years and 160,000 to 240,000 km (by model) | Included with the vehicle |
| Body Rust Limited Warranty | 12 years, unlimited distance | Included with the vehicle |
| Tesla Extended Warranty | +2 years and +40,000 km from the end of the basic warranty | Paid |
What the extended warranty extends is the Basic Vehicle Limited Warranty in the first row. The battery warranty is separate and already runs for 8 years.
The basic warranty is 4 years or 80,000 km
The Basic Vehicle Limited Warranty runs to 4 years or 80,000 km from new, whichever comes first. If you drive a lot, it will run out before the 4 years are up.
Supplemental restraint systems such as airbags are covered for 5 years or 100,000 km. Rust perforation of the body was 12 years with unlimited distance.
You can check what remains of your warranty in the Tesla app. From the home screen, open “Specs & Warranty” and then the “Warranty” tab.
The battery warranty is 8 years, varying by model
The high-voltage battery and the drive unit have a warranty separate from the basic one. The period is 8 years for every model, and the distance limit varies by model.
| Model | Period and distance (whichever comes first) | Capacity retention |
|---|---|---|
| Model S / Model X | 8 years or 240,000 km | Minimum 70% |
| Model 3 Premium RWD / Model Y Premium RWD | 8 years or 160,000 km | Minimum 70% |
| Model 3 Premium LR AWD / Model 3 Performance AWD / Model Y Premium LR AWD / Model Y L | 8 years or 192,000 km | Minimum 70% |
During the warranty period, retention of at least 70% of battery capacity is guaranteed. However, a note said that Model S and Model X vehicles built on or before January 29, 2020 are not covered by this 70% retention.
Trim names change by model year. For older cars, I think looking at the conditions for your own car in the warranty tab of the app is the sure way.
The extended warranty adds 2 years and 40,000 km
Signing up for the Tesla extended warranty extends coverage by a further 2 years and 40,000 km from the end of the basic warranty. In total, that works out to coverage up to 6 years and 120,000 km from delivery.
Under the warranty terms, the day the basic warranty expires is the start date of the extended warranty. Signing up early does not make the extension start sooner.
I used to understand that the battery and motors were extended as well. On rereading the terms, the extension covers the scope of the Basic Vehicle Limited Warranty. For the high-voltage battery and the drive unit, the 8-year warranty mentioned earlier simply continues separately.
Incidentally, you also see the names EWI and ESA used overseas. The name on the official Japanese page was “Tesla Extended Warranty.” Conditions differ by country, so this article is limited to the official information for Japan.
Eligibility and covered models
On the official Japanese page, the covered models are Model S, Model X, Model 3, and Model Y. The price table in the warranty terms also used the notation “MODEL Y/YL.”
The conditions for signing up are as follows.
- The vehicle was sold directly by Tesla Japan
- It is within 4 years of the first delivery date
- The mileage is within 80,000 km
In other words, you need to apply while the basic warranty is still in force. The fact that you cannot sign up after it has expired is something worth knowing in advance.
The price has 3 tiers by sign-up timing
The price is split into 3 tiers by when you apply. The prices on the official page were as follows (all tax included).
| Model | Within 60 days of delivery and 20,000 km | Within 3 years and 60,000 km | Within 4 years and 80,000 km |
|---|---|---|---|
| Model 3 | 89,000 yen | 129,000 yen | 169,000 yen |
| Model Y / Y L | 99,000 yen | 139,000 yen | 179,000 yen |
| Model S | 169,000 yen | 209,000 yen | 269,000 yen |
| Model X | 179,000 yen | 219,000 yen | 279,000 yen |
The earlier you apply, the cheaper it gets. For Model 3, there is a difference of 80,000 yen between signing up within 60 days and in the fourth year.
You could purchase it through the Tesla app or at a service center. In the app, you select the vehicle and go from “Upgrades” to “Extended Warranty.” Payment is by credit card only, and it reportedly cannot be rolled into the vehicle price.
What is covered and what is not
The warranty covers failures that occur in normal use. Defects in materials manufactured or supplied by Tesla, and in workmanship during the manufacturing process, fall under it. The costs of diagnosis and repair that a service center judges necessary were covered.
On the other hand, the exclusions are set out in considerable detail.
- Tires, the low-voltage battery, and key fob batteries
- Consumables such as wipers, brake pads, and filters
- Normal wear and deterioration
- Damage from accidents, misuse, improper maintenance, or modifications
- Anything relating to paint or corrosion
- Charging equipment and adapters such as the Wall Connector
As for a deductible (out-of-pocket amount), I could not find any mention of one in the warranty terms. However, the warranty limit is stated as up to the residual value of the vehicle at the time of the claim.
The extended warranty also places obligations on the contract holder. You must have the legally required inspections and maintenance, and the system checks specified by Tesla, done within the set periods. It seems best to keep your maintenance records.
The real repair costs that nudged me toward signing up
Honestly, a sum in the low hundreds of thousands of yen is not small. What tipped me toward signing up anyway was learning about real examples of EV repair costs.
For instance, I came across a story of an air-conditioning repair alone costing around 250,000 yen. By gasoline-car standards, that is a rather surprising amount.
If even one covered repair comes up while you own the car, the warranty effectively pays for itself. Nothing beats having no failures at all. But viewed as a hedge against risk, it was an amount I could accept.
I summarized overall EV running costs in my comparison of running costs for EVs and gasoline cars.
Thinking about fixed costs for the car gets me thinking about other fixed costs too.
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How warranty transfer works
This is the part I was most glad I looked into. How a warranty transfers depends on the type of warranty and who you sell to.
| Type of warranty | When you sell or transfer | What the official text says |
|---|---|---|
| New Vehicle Limited Warranty | Transfers | It transfers with the vehicle when ownership is changed through Tesla |
| Extended warranty (transfer to an individual) | Transfers | Unless a cancellation request is made, it transfers automatically to the transferee |
| Extended warranty (sale to a vehicle dealer) | Excluded from transfer | The condition is that it is not a transfer to a vehicle dealer or its customers |
| Right to cancel the extended warranty | Cannot be transferred | The right to cancel cannot be assigned or transferred |
The New Vehicle Limited Warranty moves to the next owner along with the car. The official FAQ said “when ownership is changed through Tesla.”
The extended warranty likewise moves to the next owner unless I cancel it. No special procedure is needed. It was a more relaxed arrangement than I had expected.
Cases where it cannot be transferred
Transfer of the extended warranty does come with conditions, though. The warranty terms listed the following points.
- The required maintenance has been carried out during the warranty period
- It is not a transfer to a vehicle dealer or its customers
- The original contract holder has not cancelled
The second is easy to overlook. If you sell to a car-buying dealer, it seems wise to assume the extended warranty will not carry over.
One more thing: the right to cancel cannot be transferred. The next owner can use the warranty but cannot cancel it and receive a refund.
Cancellation and how the refund is calculated
If you want to cancel before selling, you need to send a cancellation request in writing. The conditions were that you are the original applicant and that the warranty has never been used.
The refund calculation changes with the timing of cancellation.
| Timing of cancellation | Refund |
|---|---|
| Before the warranty starts | The warranty fee minus a 15% handling charge |
| After the warranty starts | The remaining proportion multiplied by 85% (the lower of the days-based and distance-based figures) |
The formula after the start is “warranty fee × (1 − proportion elapsed) × 85%.” The proportion elapsed is calculated two ways, by days and by distance driven.
Warranty on certified pre-owned cars
For certified pre-owned cars, whatever remains of the original basic warranty applies as is. After the basic warranty ends, a warranty of 1 year or 20,000 km is reportedly added. The battery and drive unit warranty also continues for the original period from new.
Meanwhile, the extended warranty is stated to cover “vehicles sold directly by Tesla Japan.” I could not confirm from the official text whether certified pre-owned cars or used cars from other dealers can sign up. If you are considering it, asking a service center may be the quickest route.
Can it add to the price when you sell?
Another thing I wondered about was how much of the value of the extended warranty can be added to the price when selling.
My impression from looking into it is that it has a certain appeal in a private sale. I came across the view that it might add a few tens of thousands of yen. This is not official information, though.
In a sale to a car-buying dealer, it seems you can expect almost no premium. As the terms above say, the warranty itself is excluded from transfer in a sale to a dealer.
Common pitfalls
Here are the points I felt were easy to get wrong as I looked into this.
- Trying to apply after the basic warranty has expired. You can sign up only within 4 years and within 80,000 km
- Thinking the battery warranty is extended by 2 years too. What is extended is the Basic Vehicle Limited Warranty
- Thinking the extended warranty goes along with the car even when sold to a dealer. Under the terms, it was excluded
- Trying to cancel after using the warranty once. With a usage history, you cannot cancel
- Not keeping records of the legally required inspections. You may be asked to show your maintenance records
Who it suits and who it does not
It suits people who intend to keep the car well beyond 4 years. People whose annual mileage is not too high can also make full use of the 6 years.
Conversely, if you plan to sell to a car-buying dealer within 4 years, it may see little use. The same goes if you drive a lot each year and reach 120,000 km early.
In our household, we gave a lot of weight to peace of mind while owning the car. Adding in the small prospect of recovering some value at sale, signing up was the choice that sat right with us.
Things to check before signing up
- Whether it is within 4 years of the delivery date
- Whether the mileage is within 80,000 km
- Which of the 3 price tiers applies at the current timing and mileage
- How many years and how many km you plan to drive it
- Whether you would sell to an individual or to a car-buying dealer
- Whether records of the legally required inspections have been kept
Frequently asked questions
Q. How many years and km does the Tesla extended warranty cover?
It extends coverage by 2 years and 40,000 km from the end of the basic warranty. Counted from delivery, the total is up to 6 years and 120,000 km. It ends at whichever comes first.
Q. By when do I need to sign up for the extended warranty?
Within 4 years of the first delivery date and within 80,000 km. You cannot apply after the basic warranty has expired. The earlier you do it, the lower the price as well.
Q. Does the extended warranty cover the battery too?
What is extended is the Basic Vehicle Limited Warranty. The high-voltage battery and drive unit have a separate 8-year warranty. The low-voltage battery was excluded from the extended warranty.
Q. Does the warranty transfer when I sell the car?
The New Vehicle Limited Warranty transfers with the car when ownership changes through Tesla. The extended warranty also carries over automatically in a transfer to an individual, unless it is cancelled. A sale to a vehicle dealer is excluded from extended warranty transfer.
Q. Does the transfer require any procedure or fee?
No special procedure was described for transferring the extended warranty. I could not find any provision for a fee in the warranty terms either. If you want to cancel, on the other hand, a written request is required.
Q. How much do I get back if I cancel partway through?
Before the warranty starts, it is the warranty fee minus 15%. After it starts, it is calculated as the remaining proportion multiplied by 85%. The lower of the days-based and distance-based amounts applies.
Q. Is there a deductible (out-of-pocket amount)?
I could not find any mention of a deductible in the warranty terms for Japan. The warranty limit is up to the residual value of the vehicle at the time of the claim. If it concerns you, I think it is best to ask at the service desk before signing up.
Q. Where can I get warranty repairs done?
At a Tesla service center or a Tesla-approved repair facility. The process is to contact Tesla before the repair. You can also check whether something is covered in the estimate shown in the app.
Official sources I referred to
Summary
The Tesla extended warranty turned out to be a program that extends the basic warranty by 2 years and 40,000 km. The earlier you sign up, the lower the price, starting at 89,000 yen for Model 3 within 60 days.
What is easy to overlook is how it is handled at sale. In a transfer to an individual, the warranty carries over to the next owner unless you cancel. It is handled differently in a sale to a dealer, so the decision may be easier if you think through how you will sell as well.
Conditions and prices may change. When you consider signing up, please check the official site for the latest information.
I wrote about the process up to delivery in my record of the Model Y L from order to delivery. For how to approach fixed costs overall, see also how to get started reviewing fixed costs.
The time to review what your car costs to run is also the time to review your other fixed costs. Our household has followed a policy of bringing everything, telecom included, into the Rakuten ecosystem. If you are not using Rakuten Mobile yet, it might be worth taking a peek at the price simulator.
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